Here’s a general list of the benefits of buying vs. renting that will be sure to help you in making your big decision when it comes to looking for a new home.
Buying a home is an investment
Buying a home is a great investment. Over time, your home will very likely increase in value. Your equity will also build over time when you make your monthly mortgage payments and will grow more the longer you stay in your home. Simply, renting is not an investment – you’re paying someone else for money you could be using for an investment! Why not pay a mortgage instead that will benefit you in the long run?
Freedom
Have you ever had those landlords who never let you make the place you’re living in, your own? You had to keep the walls a pale white, or had to deal with an old bathroom or kitchen that barely does its job? As a homeowner, you can fix these things and make the home truly your own. You won’t have to worry about what colours you’re allowed to paint the walls or having to get permission to make changes to that old kitchen or bathroom.
Generally over time, buying costs less than renting
Have you ever experienced a landlord increasing your rent each year? With paying a mortgage, you won’t have to deal with that if you opt for a fixed mortgage rate! This makes it easier to budget since it will stabilize your monthly finances. Also, your home will increase in value for your benefit, and each payment you make impacts your equity. With renting, there is no chance for money to be made. Also, when you’ve paid off your mortgage, guess what that means? No more mortgage payments – the house is all yours!
Family stability and being part of a community
Do you remember growing up in your family home and how special that home was to you and your family? If you’re planning on starting a family or thinking of moving to a new home to make life better for your family, buying a home will create a space that will be more important to you and your family than any investment. Without getting too cheesy, owning a family home is really something special: you can watch your kids grow up and make family memories that you’ll never forget.
Also, when you pick a great neighbourhood to live in, you’re sure to build a sense of community with your neighbours and foster a great environment for your children to grow up in.
Make sure to talk to your mortgage broker for more information on how buying is the right choice for you.